July 8 (Bloomberg) -- Morgan Stanley, the investment bank that named new co-heads of fixed-income trading in May, combined the company’s corporate credit and structured products groups in Europe and promoted other executives.
Anna Khazen, 38, and Brian Neer, 40, will lead the combined European credit business, according to a memo to employees from Michael Heaney and Rob Rooney. Rebecca Hogan Dorrian, who ran trading of U.S. non-agency mortgage-backed securities and consumer asset-backed products, will head all U.S. structured products trading, according to a separate memo obtained today by Bloomberg News.
Heaney and Rooney were named to oversee the fixed-income business after Ken deRegt left to join investment firm Canarsie Capital Group. Morgan Stanley Chief Executive Officer James Gorman, 54, laid out a plan in June to boost returns in fixed-income trading above the company’s cost of equity after four of the five units failed to meet that metric last year.
Mark Lake, a spokesman for the New York-based bank, confirmed the contents of the memos, which were sent last month.
Angelie Moledina was named sole head of the firm’s European liquid flow rates business, after running the group with Ciaran O’Flynn, according to a June 20 memo from Glenn Hadden, global head of the rates unit. O’Flynn will become co-head of electronic fixed-income trading with Dexter Senft, said a person briefed on the matter, who asked not to be identified because the move hasn’t been made public.
Irene Otero-Novas is becoming sole head of the power, gas and coal business in Europe and Asia as Richard Griffin retires, according to a memo. Ben Amsellem will head trading in the unit, reporting to Otero-Novas, after leading the agriculture business.
Morgan Stanley said last month that it was exiting some Eastern European markets for power and gas and shutting its agricultural products business as the company scales back its commodities division. The firm is cutting 30 to 35 jobs in commodities, or 10 percent of its workforce, a person briefed on the matter said at the time.
The promotions of Khazen, Dorrian, Moledina and Otero-Novas also show progress in women advancing in the trading business, which historically has lagged behind other areas of financial services, said Jeanne Branthover, a managing partner at Boyden Global Executive Search in New York.
Otero-Novas, 41, joined Morgan Stanley in 2004 as part of its joint venture with Endesa SA and became a managing director in 2008. Moledina and Dorrian, 34, were hired by the firm out of college in 1996 and 2000, respectively, and Khazen arrived in 1999. Moledina and Khazen were named managing directors in 2009, with Dorrian joining in 2011.
“These are proven, internal women that the firm is recognizing,” Branthover said. “Women not being at senior levels in financial services is a problem, and it’s real, but I believe this age group and level is the group that’s going to be up and coming as the next generation of women in leadership.”
Ken Merner, who helps run the firm’s credit business in Japan, also will head structured products in that nation, Heaney and Rooney said in their memo. Dean Wang will lead Asia credit trading from Hong Kong, after Ismail Bhaimia moved to New York to serve as a risk manager for fixed-income, according to the memo.
Bob Hershy will head the new issuance business for non-agency residential mortgages, in addition to his role as head of collateralized loan obligation new issues.
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